New Delhi, April 7 -- The past four months have been a stretch of severe turbulence for IndiGo, with India's largest airline hitting one air pocket after another.

In early December, it was caught off guard by its approach to new domestic regulations that curtailed and staggered pilots' flying hours, forcing widespread flight cancellations. Then came the US attack on Iran, setting off a chain reaction across oil prices, West Asia aviation, and the rupee's exchange rate against the dollar-all variables central to IndiGo's business.

As it heads into the peak summer season, the airline has significant course correction ahead if it is to return to the steady glide path it has long been known for.

Nowhere is the strain more visible than in t...